AB SKF (publ) (SKF-B.ST) stock analysis
In our weekly check, AB SKF (publ) is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 4, red flags: 4.
About AB SKF (publ)
AB SKF (publ) is an Industrials company (Manufacturing - Tools & Accessories) based in Sweden, listed on STO as SKF-B.ST.
What our checks show for SKF-B.ST
Red flags
- The net margin fell by 3.2 points over 5 years, to 5.8%: the company keeps less of each sale as profit.
- Analysts expect revenue to shrink about 0.7% a year.
- Revenue fell 4.5% a year over the last 3 years.
- The stock has fallen as much as 64% from a peak. Would you have held through that?
Warning signs
- The net margin is only 5.8%: little room if costs rise.
- Free cash flow is only 4.3% of revenue.
- Recovering from its deepest fall took about 1.8 years.
- Return on capital (ROCE) is only 8.5%.
Strengths
- Net debt is only 0.8x a year of EBITDA: the balance sheet has room.
- Operating profit covers interest 11.4 times over.
- The gross margin is 29.5% and has risen by 1 points: pricing power is holding.
- Operating cash flow is 1.32x net profit: the profit arrives as real cash.
- Analysts expect earnings per share to grow about 34.2% a year over the next years.
- Analysts expect the net margin to improve by 5 points from today's 5.8%.
Similar companies
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Questions
What grade does AB SKF (publ) (SKF-B.ST) have?
In our weekly check, AB SKF (publ) is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 4, red flags: 4. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of SKF-B.ST stock?
This week's biggest flags for AB SKF (publ): Margins falling, Weak revenue forecast, Weak revenue growth. In total 8 of 25 checks show a warning or a red flag.
What does AB SKF (publ) do?
AB SKF (publ) is an Industrials company (Manufacturing - Tools & Accessories) based in Sweden, listed on STO as SKF-B.ST.
The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.
Updated 2026-10-24
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